Trade of the Day:  EUR/CAD    

EUR/CAD continues to fall toward the key support level 1.4491, which was previously identified by Autochartist. Autochartist rates the Significance of this support level at the 5-bar level – which is the result of the five previous reversals from this price level. EUR/CAD is expected to continue to fall toward the support level 1.4491.

As can be seen from the daily EUR/CAD chart below – the pair earlier reversed down from the resistance area located between the resistance level 1.4600 (which has been steadily reversing the price from December) and the upper daily Bollinger Band. The proximity of this resistance area and the clear bearish divergence on the daily Stochastic indicator add to the probability EUR/CAD will continue to fall toward the support level 1.4491.